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Journal for Studies in Management and Planning
Available at
http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 04 Issue 03
March 2018
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 460
A Study on Changing Customers Attitude towards FMCG
Market in Indian Market
Udayagiri Raghunath, Research Scholar, Department of Management, Sunrise University, Alwar,
Rajasthan
Dr. Richa Singhal, Supervisor, Department of Management, Sunrise University, Alwar, Rajasthan
ABSTRACT
Each business association reaches to the customers through their goods or services. To
sell the products to the customers various activities are being performed. This is called
showcasing and it is an important capacity. Showcasing is the execution of business
activities that directs the stream of goods and services from maker to the customer. The
activity directs to satisfy the human needs through trade process. In the recent years, the
way Indian consumers are spending their money on various items has changed. The
penetration of internet and social media has increased, as a result the purchasing
behavior of Indian consumers has changed dramatically. Urbanization is a constant
phenomena in India and is influencing the life style and buying behavior of the
consumers. The study is based on the perceptions, buying behavior and satisfaction of
the consumers in Indian market. In this paper we describe the changing customer
attitude towards marketing concept of FMCG in India etc.
INTRODUCTION
The Indian consumer market has higher
disposable income the development of
modern urban lifestyles. Increase in
consumer awareness has affected buyer’s
behavior in cities, towns and even rural
areas. According to a 2010 report by
McKinsey & Co., India is set to grow
into the fifth largest consumer market in
the world by 2025.
Every organization works with certain
objectives and these are to be achieved.
To achieve the pre-decided objectives a
number of activities are to be performed.
It is not necessary that one all
organizations would perform one type of
activities. The activities may include
production, marketing, human resource,
finance, transportation, service, research,
logistics, purchasing, and storage, trading,
assembling, distribution and others. These
activities are performed and these are
related to each other so that the objectives
can be fulfilled effectively. Similar way
the marketing activities are performed in
some of the company those are interested
in marketing the products or services for
use of customers. Marketing is one of the
important activities of an organization. It
is through marketing the products or
services of the company are reaching to
the customers. The company gets the
money back when the products are sold
out in the market. So the business cycle
keeps on going further. It is required to
Page 2 of 8
Journal for Studies in Management and Planning
Available at
http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 04 Issue 03
March 2018
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 461
coordinate the marketing activities
without activities also. It is necessary to
work in close coordination with
production. Production alone is not going
to serve the purpose. Production without
marketing become useless for the
company and marketing without
production is not possible. Similarly,
marketing is related to other activities like
finance, research and human resource
activities. So the main concerned here is
with the marketing activities.
FMCG IN INDIA
Products which have a quick turnover, and
relatively low cost are known as Fast
Moving Consumer Goods (FMCG).
FMCG products are those that get replaced
within a year. These products are
purchased by the customers in small
quantity as per the need of individual or
family. These items are purchased
repeatedly as these are daily use products.
The price or value of the products is not
very high. These products are having short
life also. It may include perishable and non
perishable products, durable and non
durable goods. Examples of FMCG
generally include a wide range of
frequently purchased consumer products
such as toiletries, soap, cosmetics, tooth
cleaning products, shaving products and
detergents, as well as other non-durables
such as glassware, bulbs, batteries, paper
products, and plastic goods. FMCG may
also include pharmaceuticals; consumer
electronics, packaged food products, soft
drinks, tissue paper, and chocolate bars. A
subset of FMCGs is Fast Moving
Consumer Electronics which include
innovative electronic products such as
mobile phones, MP3 players, digital
cameras, GPS Systems and Laptops. These
are replaced more frequently than other
electronic products. White goods in
FMCG refer to household electronic items
such as Refrigerators, T.Vs, Music
Systems, etc.
Fast Growing Sector
In 2005, the Rs. 48,000-crore FMCG
segment was one of the fast growing
industries in India. According to the AC
Nielsen India study, the industry grew
5.3% in value between 2004 and 2005.
The Indian FMCG sector is the fourth
largest in the economy and has a market
size of US$13.1 billion. Well-established
distribution networks, as well as intense
competition between the organized and
unorganized segments are the
characteristics of this sector. FMCG in
India has a strong and competitive MNC
presence across the entire value chain. The
middle class and the rural segments of the
Indian population are the most promising
market for FMCG, and give brand makers
the opportunity to convert them to branded
products.
Growth Prospects
With the presence of 12.2% of the world
population in the villages of India, the
Indian rural FMCG market is something
no one can overlook. Increased focus on
farm sector will boost rural incomes, hence
providing better growth prospects to the
FMCG companies. Better infrastructure
facilities will improve their supply chain.
FMCG sector is also likely to benefit from
growing demand in the market. Because of
Page 3 of 8
Journal for Studies in Management and Planning
Available at
http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 04 Issue 03
March 2018
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 462
the low per capita consumption for almost
all the products in the country, FMCG
companies have immense possibilities for
growth. And if the companies are able to
change the mindset of the consumers, i.e.
if they are able to take the consumers to
branded products and offer new generation
products, they would be able to generate
higher growth in the near future.
OBJECTIVES OF THE STUDY
To understand the idea of
advancement, methods of advancement
in markets, sales advancement, require,
objectives, importance in competitive
situation, and connection with various
limited time methods,
To study the tools or techniques of
sales advancement, impact on sales,
parties associated with sales
advancement, administration of sales
advancement measures, requirement
for sales advancement strategy and its
importance, and part of sales
advancement strategy in progress of
number of customers, sales volume,
profits and progress of the business
overall.
To understand Indian FMCG sector
and discover the practices received by
the main companies with respect to
sales advancement strategy, their
effects and difficulties faced in it by
the selected companies.
To recognize the different consumer types
& communicate accordingly.
To know the factors those affect their
buying behavior.
Understand buying behavior &
consumer decision making process.
To know what strategies the marketer
can adopt to influence the consumer
purchasing behavior.
To meet the necessity of Ph. D
research study.
REVIEWS OF LITERATURE
According to a research conducted by
Paul Pigors and C. Mayers, an executive,
supervisor or manager spends about 70%
of his time in communication. This face- to-face communication plays a vital role in
managerial decision-making.
As Benjamin Balinsky said, "If there is
any short-cut of executive effectiveness, it
is the mastery of the art of face-to-face
communication." Communication is a
word derived from the Latin word
"communis", literally meaning to make
common, to share, to impart, convey or
transmit. Communication is the process
through which two or more persons come
to exchange ideas and understanding
among themselves. The following are the
definitions of communication
The American Marketing Association
(AMA), in its Web-based "Dictionary of
Marketing Terms," defines sales
promotion as "media and no media
marketing pressure applied for a
predetermined, limited period of time in
order to stimulate trial, increase consumer
demand, or improve product availability."
In the words of J.M. Black, “sound
communication is a master key to a
company's success." An effective and
sound communication
